How to Make an Installment Loan Work Out The Best Way Possible

While installment loans are easier to get these days and can help you out of a financial bind, sometimes they come with too high of a cost. If you find yourself needing an installment loan, follow these tips to help you make it work out the best way possible for you.

Borrow only what you need

Installment loans may give you a longer time tp pay back the loan than a typical payday loan but it still has to be paid back. Don’t borrow any more money than you need. Sure, it would be nice to have a few extra dollars, but the interest that accrues on the loan is contingent upon how much you actually borrow. Plus, the more money you need to pay back, the more difficult it will be to do so.

Shop Around for Your Installment Loan: Comparing APRs

Comparison shopping is something that people do all of the time. They look at more than one house when buying a home, go to more than one car dealer when shopping a car, and try on more than one pair when buying shoes.

It only makes sense to shop around for the installment loan with the lowest annual percentage rate of interest.

This is also known as the APR, so it is easy to find. If you search for your installment lender online, you can easily compare several of them at the same time.

It’s important to use the amount of money that you need to borrow in order to make a good comparison. Lenders charge a number of different APRs, which are charged according to the actual sum of money that is borrowed.

Shop Around for Your Installment Loan: Comparing Fees

Many lenders charge additional fees on installment loans, and you’ll be expected to pay them. Try and find a lender who doesn’t charge any fees in order to avoid paying more than you should to get the money that you need.

Fees that you should look for include an application processing fee and service fees. It is possible to find a lender who doesn’t charge both of these, so it is worth the time that it takes to shop around. Typically, you’ll spend less than an hour online comparing lenders. If you can afford to wait that long, it is a good investment of your time since it can save you a few extra dollars on the cost of borrowing funds.

Making Sure That You Can Pay The Monthly Installments

Unless you want to incur additional fees on the day that your installment is due, make sure that you can pay it off in full. In addition to borrowing the least amount possible and finding the lowest interest rate and fees, you should do everything possible to ensure that you have the funds on the installment due dates. Avoid unnecessary expenditures, collect debts that people owe you, and even look underneath the seat cushions for spare change. If you want to make an installment loan work out in the best way possible for your circumstances, you need to work at it actively.

Advertisement

Advertisement


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>


10 Comments

  • ALLEN DYLE says:

    HELLO MY NAME IS ALLEN. I NEED AN INSTALLMENT LOAN. THE PURPOSE OF THE LOAN IS TO FIX MY CARS ENGINE. I HAVE NEGATIVE CREDIT. I AM ABLE TO PAY FOR A LOAN. HOWEVER YOUR RIGHT THE INTERST RALES ARE VERY HIGH. I ALSO KNOW ALL OF THE SITES CLAIM THAT IF THEY PULL A CREDIT REPORT IT WILL NOT AFFECT MY CREDIT SCORE. THIS IS FALSE. IF THEY DO A HARD PULL FROM WAY MORE THAN 4 OR 5 LENDERS IT MAKES MY SCORE EVEN WORSE. HOW CAN I CHECK FOR THE BEST INTEREST RATES? THANK YOU ALLEN

  • Russell Holbrook says:

    I have been trying to get a consolidation loan of $15000 to pay off some debt and to get a new lawn mower it would cost as much as a new one to fix it.Anyway I just want to combine the bills into one payment.I have been told that having bad or poor credit would not be a problem evidently it is as I still can’t get a loan for the amount I need.The last time I checked I only had a mere 540 credit score and I understand being denied with such a low score.That’s okay I still am going to try.I have told lenders that I would pay weekly or monthly if approved and have the funds automatically deducted from my checking account and set up a three or four year loan term which ever is better for the lender.But I still get no response.Thanks and have a nice day.

  • sheri Stubbs says:

    I am a recent divorcee ,retired and I have poor credit mostly because of discrepancies on my report,such as my ex’s credit card that I was not on and never saw it yet it is on my report when he defaulted in his obligations. I was a victim of identity theft a couple years ago that took its toll on me also. Now I am trying to build my credit back up on my own so that when my time it done I won’t leave my children my debts.
    who knows, maybe I could even get to go visit with them. Thanks for the tips and wish me luck. Sheri

  • Kevin McArthur says:

    I’m Interested in a Consolidation loan
    Consolidating My Current Debt Will Allow Me The Flexibility I need To pay off These Loans I have Now In Addition to my Regular Monthly Expenses.
    I’ll have 1 Payment Instead Of 5 different types due monthly in
    addition to my Regular Monthly Expenses

    Thanks for your time

    KLM

  • Vicki Simon says:

    I keep trying to find a requtable company to get an unsecured loan from for about 2500.00. My credit yes is very poor — the more I keep trying to find a loan the worse it gets and then I am a recently divorced got left for over 3 years no child support and with all the bills ! I need help ASAP ! I want to combine some bills and need some to get asap Thank you

  • Linda Taylor says:

    It seems to me no one believes in second chances. I am in need of a couple of grands until my money comes in. I do not need 10,000 or 25,000, I only need 2000. Bettertimes has been a great site to help me find lender that will work with me. Love the articles too!

  • Russell Holbrook says:

    I am looking to combine my debt into one payment.And I am trying to get a $15000 loan for 48 months to do so.I am willing to set up automatic withdrawal of the payment so that there will be no missing payments when it is due.I have been filling out requests for awhile to no avail because I do not have the best credit and have been turned down numerous times.I understand the reasoning for being denied and that’s okay but I still think that there is someone who will give me a chance and help me out.I have been approved for many Payday Loans but that would not help my situation at this time. Thank you for the articles on Peer to Peer loans, I did not knowe that they existed, it might be the best way for me to get the loan I need.

  • pbakersky says:

    live new York u don’t do this here

  • Brian Pepper says:

    I am looking 4 an installment loan so I can pay theres 2 lawyers off so I can get them off my back. Plus I would like 2 get my license back. I just need it so I can help myself 2 get a room 2 get off the streets. My credit is not very good. Any help will do. I am a disable Veteran looking 4 any help. I can pay loan off fast or maybe 2 pay it slow so I can rebuilt my credit 2 a good standing.

    • Hi Brian,

      As long as you are employed and have a bank account you may be able to receive an installment loan even if your credit is not great.
      I hope you are able to get the lawyers off of your back and find a place to stay.